City of Lincoln v. County of Lancaster
297 Neb. 256
| Neb. | 2017Background
- A Lancaster County deputy intentionally made physical contact with a City of Lincoln police officer, aggravating a preexisting shoulder surgery; the City paid about $63,418 in workers’ compensation/medical expenses.
- City sued County seeking reimbursement for those payments. County asserted sovereign immunity and that the claim fell within the Act’s intentional-tort (battery) exception.
- County had a retained-limits general liability policy with a $250,000 retained limit and $4,750,000 policy limit; the policy obligated the insurer to indemnify only for damages and claim expenses in excess of the retained limit and required an "occurrence."
- District court granted summary judgment for County, holding (1) the claim arose from a battery and was therefore barred by § 13-910’s intentional torts exception, and (2) the County’s insurance did not waive immunity for the $63k claim because of the retained limit.
- On appeal, the Nebraska Supreme Court affirmed but on different grounds: it concluded the policy’s insuring agreement required an "occurrence" (an accidental happening), battery is intentional and therefore not an "occurrence," so the policy provided no coverage and thus § 13-916 did not effect a waiver of sovereign immunity for this claim.
Issues
| Issue | Plaintiff's Argument | Defendant's Argument | Held |
|---|---|---|---|
| Whether the City’s claim is barred by the Political Subdivisions Tort Claims Act intentional-tort (battery) exception | The touching was minor/unexpected and should not be characterized as battery | The contact was intentional and therefore constitutes battery excluded from the Act’s waiver | Held: The contact was intentional; claim arises from a battery and fits the intentional-tort exception, so immunity applies absent waiver |
| Whether County’s purchase of liability insurance waived sovereign immunity for the City’s $63k claim | § 13-916 waives immunity to extent of purchased liability insurance; City argues County’s procurement waived immunity even if claim is within retained limit | County argues the policy only indemnifies amounts in excess of the retained limit and, in any event, policy covers only "occurrences," not intentional acts | Held: Policy covers only "occurrences" (accidental happenings). Battery is intentional and not an "occurrence," so the policy provided no coverage and § 13-916 did not effect a waiver for this claim |
Key Cases Cited
- Kimminau v. City of Hastings, 291 Neb. 133 (discusses intentional-tort exception under the Tort Claims Act)
- Drake-Williams Steel v. Continental Cas. Co., 294 Neb. 386 (insurance-policy interpretation requires determining whether insurer covered the risk)
- Britton v. City of Crawford, 282 Neb. 374 (harmful intentional contact is the essence of battery)
- Austin v. State Farm Mut. Auto. Ins. Co., 261 Neb. 697 (intentional acts are not accidents for insurance coverage)
- Blaser v. County of Madison, 288 Neb. 306 (statutory waiver via insurance procurement explained)
- State of Florida v. Countrywide Truck Ins. Agency, 294 Neb. 400 (policy-language waiver principles)
- Linscott v. Shasteen, 288 Neb. 276 (procedural point on briefing/reply issues)
- Farr v. Designer Phosphate & Premix Internat., 253 Neb. 201 (definition/discussion of accident in coverage context)
- Anderson v. Union Pacific RR. Co., 295 Neb. 785 (appellate courts need not decide unnecessary issues)
